Identity Verification Crucial for Compliance in Yemen
In a bid to combat money laundering and terrorist financing, the government of Yemen has introduced strict regulations requiring businesses to verify the identities of their customers. Shufti Pro, a leading provider of identity verification solutions, has emphasized the importance of this process, highlighting its role in ensuring compliance with these regulations.
Document Verification: A Key Aspect
Shufti Pro’s Document Verification service is designed to verify the authenticity of documents submitted by customers. This includes checks on security features such as:
- Holograms
- Tapered edges
- Microprinting
- And other specialized technology
The company utilizes this technology to perform these checks, ensuring that businesses can confidently verify the identities of their customers.
Required Documents for Verification
In Yemen, several types of documents are considered proof of identity or address, including:
- Valid passports
- Driving licenses
- Residence permits
- Photo IDs
- Utility bills (no older than three months)
- Government-issued documents
- Bank statements (no older than three months)
Timing of Verification
Identity verification is not a one-time process, but rather an ongoing requirement under Yemeni regulations. Businesses must verify customer identities in multiple instances, depending on their specific requirements and risk assessments. Shufti Pro advises businesses to implement identity verification procedures when:
- Onboarding new customers
- Dealing with transaction data that exceeds monetary thresholds defined by the government
Politically Exposed Persons (PEPs) and Enhanced Due Diligence
Under Yemeni regulations, businesses are required to determine if their customers are PEPs or exhibit higher risk profiles. Shufti Pro offers an AML Screening service that helps identify these individuals and categorizes them based on their level of risk. The service also screens for immediate family members and close associates of PEPs.
Reliance on External Services
While businesses may choose to use external services to fulfill their AML/KYC obligations, they remain liable for maintaining regulatory compliance and fulfilling these obligations. Shufti Pro advises caution when relying on third-party services, emphasizing the importance of monitoring and verifying the accuracy of this information.
Record Retention
Finally, Yemeni regulations require businesses to retain data for at least five years, as part of their AML/KYC obligations. This includes collecting necessary information from third-party service providers without undue delay. Shufti Pro emphasizes the importance of maintaining accurate records to ensure compliance with these regulations.
By implementing robust identity verification procedures and adhering to Yemeni regulations, businesses can help prevent money laundering and terrorist financing while maintaining a secure and compliant environment for their customers.